Companies pursuing a learning curve strategy must increase
A) employee training.
B) costs.
C) quality.
D) volume.
E) staffing levels.

Question

Quizplus · Accepted Answer

Companies pursuing a learning curve strategy must increase volume. This is because the learning curve strategy involves producing more units to take advantage of the learning curve, which leads to increased efficiency and decreased costs per unit. As production volume increases, the company benefits from economies of scale and learning effects, which reduce costs and increase efficiency. Therefore, to effectively pursue a learning curve strategy, a company must increase volume.

Companies Pursuing a Learning Curve Strategy Must Increase